"Made in India" is quietly heating up, comprehensively challenging "made in China"
China station news: from November 10 to 14, China and India held their first joint military exercise. The easing of political relations between the two countries has promoted the warming of bilateral economic and trade cooperation. According to statistics, in the first five months of 2003, the bilateral trade between China and India reached US $300million, an increase of 70% year-on-year. While the world pays attention to "made in China", the "made in India impact tester is used to test the impact resistance of metal materials at low temperature" has quietly sneaked into China and will become a powerful challenger to "made in China"
historical grievances are receding, and economic and trade cooperation is heating up
for a long time, the relationship between China and India has been relatively flat due to border issues. In 1962, the two countries even fought each other. During Indian Prime Minister Vajpayee's visit to China in June this year, China and India put trade issues ahead of territorial disputes. The improvement of diplomatic relations has rapidly promoted the expansion of business ties between the world's two fastest-growing economies. From October 16 to 19, the Indian made products exhibition was held in Beijing. This is considered to be the follow-up result of Indian Prime Minister Vajpayee's visit to China in June
Indian software and information technology companies are the first to trade with China, followed by pharmaceutical, steel and auto parts manufacturers. At the same time, China's low-cost consumer goods and electronic products have also accelerated exports to IndiaNIIT, the largest technology training company in India, entered China in 1998. So far, it has given you the experimental machine in Jinan, 25 provinces in China. How to make the experimental machine have a long service life. It has established 120 training centers, and its Chinese business has become its largest overseas training business. Other Indian software giants, such as Infosys technology and Tata consulting services, also follow their Western customers into the Chinese market, hoping that China will become their Asia Pacific business base. Tata is currently providing software services to Ge, Motorola and Merrill Lynch in China. Tata has set up a software development center in Hangzhou and recently selected China Pacific Data Communication Co., Ltd. as its partner in China
"made in India" challenges "made in China"
during Prime Minister Vajpayee's visit to China, the leaders of the two countries reached a consensus to strive to increase the total volume of trade between the two countries, hoping to increase from $5billion in 2002 to $10billion in 2004. This means that more "made in India" and "made in China" will flow into each other's countries. As of the fiscal year ended March 31, 2000, the trade volume between the two countries was less than US $2billion. As the industrial and commercial enterprises of the two countries conduct cross-border trade through various channels, the bilateral trade volume may reach US $7billion in 2003, and it is more likely to climb to US $10billion next year
India has a large population, low average wages and cheap raw materials. These factors have strengthened the competitiveness of "made in India". Taking the chip industry as an example, the market size is the main reason why American chip enterprises list India and China as production and research outsourcing markets. The population of both countries has exceeded 1billion, and the huge population resources have left huge space for the future development of the two countries
although the tax incentives and protective tariff measures implemented by China may promote the good development of the chip manufacturing industry of the all aluminum car F150 pickup truck jointly developed by Alcoa and Ford, American enterprises believe that Indian engineers generally have a strong command of English and have the background of R & D in American software and other information technology enterprises, These factors naturally make American chip manufacturers increasingly rely on India as a large-scale research base for the development of new chip products. In 1988, Intel established the Intel India Design Center in India, which has become the largest non manufacturing business center of Intel outside the United States. American companies target chip R & D centers at India, not China. As a result, China dominates the field of chip manufacturing, but lags behind India in research and development, and lags behind in high value-added businesses
software development has been one of the fields that benefit both countries. China recognizes India's leading position in software development and hopes to introduce expertise in this area; India also hopes to occupy a place in China, the world's fastest-growing software market. It is estimated that by 2007, the size of China's software market will increase from the current US $2billion to more than US $6 billion. In this field, there may be more competition than cooperation between relevant enterprises in China and India
due to the similar economic growth between China and India, we cannot avoid the economic competition between the two countries that may be triggered by India's similar industrial structure with China. While developing economic and trade relations with neighboring countries, India's ambition to seek regional hegemony is also well known. With the continuous economic growth of China for more than ten years, China has become an important economic engine in East Asia. We also do not rule out that India is competing with Pakistan for the "economic dividend" of China's economic growth to the Asia Pacific region. This can be seen from the scale and speed of Indian companies eager to enter the Chinese market
Barr, vice president of the Confederation of Indian industries, said that many Indian companies want to invest in China. On average, three to four Indian companies set up representative offices or subsidiaries in China every month. He estimated that the trade volume between the two countries would exceed $7billion this year. 2 Mayor Bloomberg proposed in his PS ban bill that the trade volume between the two countries would certainly exceed $30billion in 2010
according to expert analysis, India and China have similar opportunities for trade development and face the same problems. The two countries must find complementary industries to strengthen cooperation. At the same time, the competition will be more intense